For almost all developing nations, foreign investment is regarded as the best ticket to economic growth, and for investors, placing bets on emerging economies is universally regarded as the best way to generate hefty returns. As far as economic prospects in Africa are concerned, then no other nation quite comes close to Nigeria, because of the country’s oil reserves and mineral deposits. It can prove to be one of the most attractive investments for investors from all over the globe. Although millions of dollars have flooded into the country’s economy over the years, Nigeria made another concerted effort to attract even more foreign investment by establishing the Investors and Exporters (I&E) Foreign Exchange window.
While many thought that it was going to end up being a success, no one really thought that it would end up attracting as much as $18.7 billion in just seven months since it was first launched. It not only shows that the initiative is an unqualified success but also demonstrates the fact that Nigeria remains one of the most attractive investment opportunities for global investors. Although it is true that no official figures have been revealed, the figure was published by a study that had been conducted by research analysts at the Coronation Merchant Bank.
The function of the I&E Forex window has proven to be a huge benefit for foreign investors and exporters. Godwin Emefiele, who is the head of the Coronation Merchant Bank, stated that the goal of the exchange was to allow exporters and investors to buy and sell foreign exchange at the current rates. The report states that as much as 65.40% of the inflows into the exchange have come in from overseas sources. However, Emefiele stated that he is hopeful that the exchange will also attract substantial inflows from domestic investors in the near future. He said, “In this regard, the Federal Government budgets were readjusted to adequately address priority infrastructure needs that would support improved investments by the private sector. This was complemented by various Presidential initiatives on improving the ease of doing business in Nigeria, dismantling regulatory bottlenecks, enhancing competitiveness and industrialization.”